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x509 certificate for WCF with username password authentication

I used the guide lines on the link attached to create my WCF service that uses a custom username password validation. This site talks about creating a certificate using self cert utility which is used in the following section of configuration. Can someone help me understand why the certificate is needed. I don't see any mention of this in the code code username password validator class.
Guidelines link: http://www.codeproject.com/Articles/...sword-authenti

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